Worldcoin has fallen approximately 3% to $8.07 following the presentation of its data control known as Personal Custody, a model aimed at addressing regulators’ concerns about data privacy. The market reaction following the announcement has altered Worldcoin’s performance with strong sell-offs.
Worldcoin has fallen approximately 3% to $8.07 following the presentation of its data control known as Personal Custody, a model aimed at addressing regulators’ concerns about data privacy. The market reaction following the announcement has altered Worldcoin’s performance with strong sell-offs.
The concept of Personal Custody, an innovative approach recommended by privacy experts, was first unveiled alongside the introduction of World ID 2.0 and aims to reform the way personal data is handled, giving individuals unlimited control. precedents regarding your information.
Reform of data processing with Personal Custody
Personal Custody means a change in the handling of data generated during World ID verification, including images, metadata and derived data, which is stored securely on the user’s device.
This novel approach gives users the ability to not only delete their data but also control its future use before deleting it; It is a level of autonomy that was not available before. The importance of this is that it deviates from the default practice of data deletion.
One of the key benefits of Personal Custody is its ability to unlock new use cases for World ID, particularly through facial authentication for high-security applications. With Face Authentication, users can verify their identity at any time locally on their device, without needing their data to leave their phone.
Additionally, optional Data Escrow will no longer be offered during world visits, ensuring that users have the opportunity to learn about Worldcoin before deciding to share their information. Experts say that with this level of user control, Spanish authorities’ privacy concerns about the use of eye-scanning technology for data collection should be reconsidered.
The Impact of Personal Custody on Worldcoin Performance
Analysts say regulatory scrutiny of Personal Custody will be less on Worldcoin. In late January, the Hong Kong Privacy Commissioner’s Office (PCPD) launched an investigation into Worldcoin under a court order. Authorities focused on potentially significant privacy risks related to personal data and potential violations of the Privacy Ordinance.
Despite that, the blockchain-based biometric verification company has soared to new heights to hit a new all-time high of $11.82 thanks to a sustained bullish rally. However, analysts have predicted that the long-term benefits of this innovative approach, including reduced regulatory scrutiny and greater user control, will ultimately contribute to Worldcoin’s sustained growth despite initial market sentiment.
